Shin-Etsu Chemical Co., Ltd. (TSE: 4063), the world's largest producer of polyvinyl chloride (PVC) and semiconductor silicon wafers, reported consolidated first-quarter results for the year ending March 31, 2027 under Japanese GAAP. Revenue rose 5.4% to ¥662,424 million, operating profit rose 4.2% to ¥173,798 million, ordinary profit rose 5.8% to ¥192,129 million, and net profit attributable to owners of the parent rose 3.5% to ¥130,829 million. Basic earnings per share were ¥70.39.
Broad-based demand
Growth was underpinned by the company's Infrastructure Materials businesses — chlor-alkali and PVC, where U.S. subsidiary Shintech is the market leader — together with resilient demand for semiconductor silicon wafers, silicones, photoresists and rare-earth magnets. The operating margin held at about 26%, and comprehensive income reached ¥197,408 million.
Fortress balance sheet
Total assets stood at ¥5.76 trillion and net assets at ¥4,744,783 million, for an equity ratio of 79.0%; book value per share was ¥2,447.41. The company continued to buy back its own shares, reducing the weighted-average share count year on year.
Guidance raised
Shin-Etsu lifted its full-year FY3/2027 outlook, now guiding revenue of ¥2.7 trillion (+4.9%), operating profit of ¥700 billion (+10.2%), ordinary profit of ¥770 billion (+8.7%) and net profit of ¥525 billion (+10.7%), with EPS of ¥286.00 — a record operating-profit target for the group.
Higher dividend outlook
Alongside the earnings upgrade the company revised its dividend forecast, setting an interim dividend of ¥58.00 for FY3/2027 after an annual ¥116.00 (¥58 interim plus ¥58 year-end) in the year just ended.
| Metric | Q1 FY3/2027 | Q1 FY3/2026 | YoY |
|---|---|---|---|
| Revenue (¥ billion) | 662.42 | 628.55 | +5.4% |
| Operating profit (¥ billion) | 173.80 | 166.80 | +4.2% |
| Ordinary profit (¥ billion) | 192.13 | 181.62 | +5.8% |
| Net profit attrib. to owners (¥ billion) | 130.83 | 126.43 | +3.5% |
| Basic EPS (¥) | 70.39 | 66.48 | +5.9% |
| FY27 operating-profit guidance (¥ billion) | 700.00 | 635.24 | +10.2% |
JapanStockPulse provides informational content only and does not constitute investment advice. Figures are taken from the company's published earnings short report and may be subject to subsequent revision.